Federal assistance feeds Southeast Missouri, state economy

Southeast Missouri counties and the State of Missouri as a whole have benefited economically from the federal Supplemental Nutrition Program, a new study shows.

The program, commonly referred as food stamps, provided more than $30.5 million in assistance to low-income residents in Cape Girardeau, Bollinger, Perry and Scott counties combined in fiscal 2018, according to a study from the Missouri Budget Project.

But the economic impact was even greater, totaling nearly $52 million for those four counties alone, according to the study’s estimate.

The not-for-profit public policy organization found the assistance program helped more than 700,000 Missourians statewide buy food while providing an estimated $1.8 billion boost to the state’s economy.

This increased economic activity provides a critical boost in rural communities, accounting for nearly 5 percent of total gross domestic product in some areas, the study found.

“SNAP benefits are critical to the families that need them to put dinner on their tables,” Lindsey Baker, Missouri Budget Project research director, said in a news release.

“But the benefits go far beyond individual families,” Baker said. “Their spending has a ripple effect through their communities and has a significant impact on local economies across Missouri.”

Every SNAP dollar spent generates an estimated $1.70 in economic growth, according to the study.

SNAP assistance is a major economic factor in a number of Southeast Missouri counties, the study found.

In Cape Girardeau County, 11.1 percent of households receive the aid; in Perry County, 10.3 percent; Bollinger County, 16.8 percent; Stoddard County, 18.4; and Scott County, 20.2 percent.

But the percentage of households receiving assistance is even higher in the Southeast Missouri counties of Butler, Dunklin, Mississippi, New Madrid, Pemiscot, Wayne and Ripley.

Among those counties, Mississippi topped the list with 34.3 percent of its households receiving SNAP aid. The study showed 32 percent of households received SNAP assistance in Pemiscot County; in New Madrid, 27.8 percent; Dunklin, 25.9 percent; Wayne, 22.3 percent; Ripley, 21.8 percent; and Butler, 21.6 percent.

But the dollar impact was highest in the more populated counties.

Among Southeast Missouri counties, Cape Girardeau led the way with direct benefits totaling more than $13.6 million, with an estimated economic impact of more than $23 million.

Butler County saw direct benefits of $12.8 million, with an estimated economic impact of $21.7 million.

Direct benefits in Scott County totaled $11.9 million, with an estimated economic impact of $20.2 million, the study said.

Dunklin County ranked fourth in the region in dollar figures, with direct assistance totaling $11.8 million and estimated economic impact amounting to more than $20 million, according to the study.

Dan Shaul, executive director of the Missouri Grocers Association, emphasized the benefits of SNAP in the Missouri Budget Project news release.

“Customers who use SNAP to put food on their tables spend that money at local grocery stores in every county in Missouri,” he said. “Those funds help our workforce, who then turn around and buy other goods and services in their communities.”

Traci Gleason, vice president of external affairs for the Missouri Budget Project, told the Southeast Missourian her organization knew even before the study SNAP plays “a large role” in the economy of the state and counties.

Ideally, she said, her organization would like to see better-paying jobs for Missouri residents so they don’t have to depend on government assistance.

But without SNAP, Missouri counties right now would be in worse shape economically, Gleason said.

mbliss@semissourian.com

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